Ten years ago, Praxis Mutual Funds® purchased an International Bank for Reconstruction and Development green bond.
In November 2008, The World Bank issued a green bond that created a blueprint for the market. The issuance was the first to define criteria for eligible green bond projects, and the first in which investors received assurance, through a second-party opinion, that eligible projects would address climate change.
The World Bank was also the first to commit to investor reporting on the use of green bond proceeds and expected project impacts – setting the standard for the marketing and forming the basis for green bond principles coordinated by the International Capital markets Association.
“We are excited to be celebrating the 10-year anniversary of the first green bond with IBRD. We were involved in the initial deal because we saw the benefits of making a positive impact with our investments and this last deal continues that work” said Benjamin Bailey, CFA®, Vice President of Investments and Senior Fixed Income Investment Manager for Praxis.
Praxis was one of the first U.S investors to participate in green bond offerings from the World Bank. Close to 30 percent of the Praxis Impact Bond Fund is invested in green bonds, community investments and other high social impact bonds to support alternative energy, immunization, medical research and local infrastructure improvements.
About Praxis Mutual Funds
Praxis Mutual Funds is a leading faith-based, socially responsible family of mutual funds designed to help people and groups integrate their finances with their values. Praxis is the mutual fund family of Everence Financial®, a comprehensive faith-based financial services organization helping individuals, organizations and congregations.